Putting a supply base in Western Australia was one of the conditions Premier Colin Barnett put on the state renewing the portion of the retention leases covering those gas fields that are within WA waters.
The rest of the retention leases are in Commonwealth waters.
Barnett sensationally told the recent Australian Petroleum Production & Exploration Association conference in Perth that if the Browse joint venturers wanted the retention leases renewed they had to commit to a supply base in WA and a domestic gas allocation.
Speaking after Woodside's annual general meeting yesterday Coleman said the discussions the consortium had held with the WA government had been positive.
"We've had every indication that we'll be able to work out all our issues with the state," he said.
Coleman said Woodside had shared Barnett's disappointment that an onshore LNG processing plant for Browse had not been feasible.
"We just had longer to get used to it," he said.
Coleman said he too would like to see both the marine and helicopter bases needed to support the FLNG set up in WA.
"The premier has expressed a clear desire for a supply base to be in WA, we would support that," Coleman said.
"Our first preference is to look for appropriate sites in WA, both for supply vessels and for helicopter operations.
"The Northern Territory is competitive to that but it's not our first preference."
However, Coleman is also keen to avoid the sort of difficulties Woodside encountered when it first considered putting an LNG plant on James Price Point in the WA Kimberley to process the Browse gas.
"Wherever we go we want to be welcomed by the community," he said.
"We need to work with the state on how is the best way to work with communities to make sure the supply base is developed in the right way."
In other words, if the state wants to keep the base in WA it has to smooth the way.
The NT has proven particularly adept at quieting community concerns when it comes to securing projects. Ichthys is proof of that.
There also seems to be some agreement on a domestic gas allocation, although Coleman said he wanted it to be "a business to business solution".
